Historic action for Hitchin leaseholders

PRESS RELEASE FROM ALISTAIR STRATHERN MP

TUESDAY 27th JANUARY 2026

FOR IMMEDIATE RELEASE

Alistair Strathern, MP for the Hitchin constituency, has welcomed the Government’s announcement of the biggest change for leaseholders in a generation.

Strathern has been a regular campaigner on the many challenges facing leasehold home owners in his Hitchin constituency. One such story hit the headlines in 2024 when a 90-year-old resident, along with his neighbours, was hit by a 9000% increase in their ground rent bill from their freeholder.

After serving on the bill committee for the last Government's leasehold reforms, Mr Strathern has been a regular advocate for further action, including many of the measures announced by the Government today. 

The Government announced today:

• a cap would be introduced on ground rent of £250 year, which would eventually reach peppercorn levels within 40 years.

• Forfeiture, where leaseholders could lose their home and equity, if they built up as little as £350 debt, will be abolished

• New homes could no longer be sold as leasehold, and existing leaseholders would have the right to transfer to commonhold.

In his question, Strathern highlighted stories from local constituents to underline the difference these changes will make for countless local residents who have written to him. 

Continuing his campaigning for further action on unadopted housing estates too, Mr Strathern secured a meeting with the Housing Minister to discuss how protections for residents on unadopted estate could be delivered as quickly and fully as possible.

Speaking to Housing Minister Matthew Pennycook in the chamber, Alistair Strathern MP said:

“This is a historic day for leaseholders, many of whom were let down by a lack of action from the last government, leaving them on the hook for exploitative ground rent levels.

“That includes one 90‑year‑old constituent of mine who was hit with a 9000 percent increase in his ground rent. That cannot be right.

“I’m really glad that the minister has shown such leadership in ensuring we can put it right today.

“I know he agrees with me that we need to go further on unadopted estates too. So, will he meet with me to ensure we can bring forward those protections as swiftly and effectively as possible?”

Matthew Pennycook said in response:

"My honourable friend has been an incredible champion for residential freeholders and leaseholders in his constituency."

“It’s precisely because of ground rent increases of that scale that we are imposing, via this draft Bill, a maximum cash cap.

“I’m more than happy to meet with him to discuss the draft Bill and related matters.”

Notes for Editors

You can see more on the Government’s announcement here.